These questions are intended to get you thinking about some of the various tax issues that you need to be aware of in order to advise on IHT and CGT. They may highlight some areas of your tax knowledge that need to be worked on.
(1). State whether the following statements are true or false.
A There are no IHT or CGT implications on the gift of a car by one individual to another.
B The sale by an individual of a building for £580,000, when it has a market value of £630,000, will potentially have both IHT and CGT implications.
(2). What are the IHT and CGT implications of being neither domiciled nor deemed domiciled in the UK?
(3). On 1 May 2021 Gerald made a gift to another individual of 3,000 ordinary shares in Fairlane Ltd, a manufacturing company.
In addition to the facts provided, what must be true in order for business property relief and/or gift relief to be available in respect of this gift?